Kylie Jenner has sold 51% of her makeup brand Kylie Cosmetics to the giant Coty for $ 600 million, as announced in a statement on Monday, November 18, 2019.
At only 22 years old, Kylie Jenner has become the richest of her family, after selling the majority of the shares of Kylie Cosmetics, her beauty brand, for a staggering $ 600 million.
The buyer is none other than the cosmetics giant Coty, proud owner of Hugo Boss perfumes, Bourjois make-up products, but also Wella, Rimmel and Cover Girl brands. The French-based multinational has become the main shareholder of the young woman's brand by acquiring 51% of its shares. According to a recent evaluation, Kylie Cosmetics would be worth 1.2 billion dollars. Kylie Jenner also remains the face of her brand, and retains control of new initiatives for products and communication.
Coty estimated in its statement on Monday, November 17, 2019, that Kylie Cosmetics had brought in $ 177 million in net revenue over the past 12 months. The group's CEO, Pierre Laubies, expressed his "joy to welcome Kylie into (his) organization and (his) family." And for good reason: this new investment should increase its cosmetics revenues by more than one percent per year, thanks to the success of the reality TV star and her huge community on social networks. In return, Coty has committed to expand the company's portfolio.
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The youngest "self-made" billionaire of all time
According to an article published in March 2019 by the magazine "Forbes", the youngest of the Kardashian-Jenner clan would be "the youngest person of all time to become a billionaire on her own", with a fortune amounting to a billion dollars. The former girlfriend of rapper Travis Scott had launched her brand in 2015 to capitalize on her 151 million followers on Instagram. She had started by selling lipsticks at $29 each. A great success, as the brand had sold out just minutes after its launch.
In 2018, while she was selling her products via the internet, Kylie Jenner decided to change her sales platform: more than 1,100 "Ultra Beauty" stands were set up all over the United States to sell the pretty brunette's makeup. Earlier the same year, the make-up magnate had extended her empire by creating the range of foundations "Kylie Skin". Its turnover would then have reached the 360 million dollars in 2018, still according to "Forbes".
The star employed only seven full-time and five part-time staff last year to run her business. Her mother, Kris Jenner, managed her youngest daughter's finances, as she has always done for her sisters, as well as her public relations, for 10% of her income. Kylie Jenner does not finance any promotional campaign for her brand, her social networks are sufficient to advertise her products.
If the mother of Stormi (20 months) is the richest of the Kardashian-Jenner clan, her colossal fortune has not been without its share of criticism from the general public: as reported by "Forbes", many believe that she has not really obtained such a success and such a sum of money from nothing, taking advantage of her illustrious family name and the fame of her sisters. Kylie Jenner nevertheless denied that her family would have invested in her business at the beginning, crediting her success to social networks.
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